FHA Mortgages Aid Borrowers in Need
We are happy to announce we also offer the FHA Secure Loan to help you protect your home from foreclosure. This program is designed to help you prevent your home from going into foreclosure from the interest rate increases from the sub-prime adjustable rate loans.
Excerpt from the New York Post December 16, 2007
“As mortgage delinquencies continue to expand, a bill that would help financially-strapped New Yorkers was passed in the Senate on Friday…The Senate measure would raise the ceiling on home prices covered by the Federal Housing Administration Secure Loan to $417,000 from $363,000 – which should help out thousands of additional area homeowners. The House measure pegs the limit at $500,000…
“The FHA program has been a smashing success – more than 43,000 families saved their homes in a little more than three months. ‘The FHA Secure Loan program is better than the rate-freeze program,’ said Gregg Marcus, the managing director of Somerset Mortgage Lenders, a 28-year old mortgage banker based in Melville, ‘because it offers a permanent fix’…
“Victor Stuart was 23 years old when he and his wife bought their dream house in Flushing – putting down no money and getting a $190,000 fixed-rate mortgage to cover 100 percent of the cost of the wood-frame house. The $1,700 monthly nut was easy. But then things went bad. Real bad…’While I was able to stay current on my mortgage, I started running up some serious credit card debt…’ In 2000, unable to keep up with the credit card debt, the Stuarts took out a second mortgage, a five-year, fixed-rate loan for $80,000 at 12 percent. This past August, the ARM reset to 11.13 percent and the monthly bill soared 33 percent to $4,000. “There was no way I could have survived at that level,” said Stuart…” In September, just weeks after President Bush unveiled the FHA Secure Loan, the Stuarts qualified and closed on a 30-year 6.75 percent fixed-rate mortgage. The monthly payments are $3,000 – about $1,600 a month less than under the reset ARM plus taxes. The family is able to keep their home and the weight of unwieldy bills has disappeared.”